The coronavirus epidemic causes stock markets to fall and travel rates to fall, potentially depriving airlines of up to US$ 113 En billions in revenue this year.
Given the continued concerns and consequences of the coronavirus on the world economy, there was more damage this Friday (6). The main European stock exchanges recorded losses above 3% and the barrel of oil was trading at a drop of 4%.
With the impacts of the coronavirus epidemic, trip cancellations have increased and the leisure travel rate has fallen. Today the decay record was around 4%.
At around 10:25 am, the London Stock Exchange gave 3.59%; Paris, 4,03%; Madrid, 3,62% and Frankfurt 3,59%; according to data from Bloomberg.
Due to not being able to obtain new aircraft orders in February, Airbus lost 4.8%. Adding further evidence of turmoil in the aviation sector due to the outbreak.
The International Air Transport Association (IATA) has warned that the epidemic could strip airlines of up to US$113 billion in revenue this year. More than 98,000 people have been infected in more than 85 countries and more than 3,300 people have died, according to a Reuters tally.
Asian stock markets closed lower this Friday. In China, the CSI300 index, which brings together the largest companies listed in Shanghai and Shenzhen, fell 1.62%, while the Shanghai index fell 1.21%. In Tokyo, the Nikkei index fell 2.72%, to 20,749 points.
Falling Oil and US Treasuries
Several losses this Friday occurred after strong widespread sales on Wall Street the day before, in the face of uncertainty about the spread of the coronavirus around the world.
Oil prices were falling significantly: a barrel of Brent dropped 5%. It was the lowest level recorded since July 2017, according to France Presse.
At around 11am, a barrel of Brent was trading down 4.26%, at US$ 47.86. In New York, WTI fell 4.49%, to US$ 43.84, after rumors that Russia would not support OPEC's call for an extra reduction in production, according to Reuters.
On Thursday, OPEC ministers said they support an additional 1.5 million barrels per day (bpd) of cuts by the end of 2020. A larger and more prolonged move than expected, but they made the proposal to Russia and to other non-OPEC producing countries.
In the US, yields on US government bonds recorded new historic lows this Friday, with increased investor demand for assets considered safer. The yield on the benchmark 10-year Treasury note fell to a record low of 0.7650%.
